The Commercial Tenancy Act is the regulatory environment governing commercial leases. Specific obligations regarding business tenancy differ from state to state, and are typically more complex than Australia's Residential Tenancy Act. They include:

  • Legislation and regulation pertaining to commercial tenancy agreements

  • Synergies between Commercial Tenancy and Fair Trading regulations

  • Legislation regarding the conditions under which the property can be used

  • Maintenance costs

  • Current market rent assessments

It's essential that landlords know the tenancy laws inside out.

Before entering into a commercial lease it's mandatory that you provide your tenant with a disclosure statement that details information such as permitted uses of the premises, the lettable area, basis of rent, access arrangements, and a number of other terms. Failure to do so may result in your lease being voided.

If the commercial lease relates to a property within a retail shopping centre, additional information must be included in the disclosure statement such as the number of shops in the retail shopping centre and their total lettable area, the number of parking spaces available to customers of the shop, and the number of parking spaces available to the tenant.

Unfortunately a solidly-structured commercial lease agreement is still no guarantee that disputes won't occur. For leases covered under the various Business Tenancy Acts, mediation can be sought for disputes that relate specifically to the lease or to other matters pertaining to the occupation of the premises or business conducted at the premises. Mediation must, of course, be agreed to by all involved parties.

Both landlords and tenants should seek legal advice if they feel that their dispute is broader than the regulations covered by their state's Tenancy Act.

General Disclaimer

The information contained in website is general information only and does not constitute legal, financial or compliance advice. As the laws relating to tenancy agreements may have changed we recommend you check with the relevant State or Territory government department. We also recommend that you obtain your own independent legal advice about matters relating to landlord obligations, tenant rights and any legal disputes you may have with a tenant(s).